Creating Shared Value

Transcription

1 Nestlé in Society UK & Ireland Summary Report 2015 Creating Shared Value From farming to consuming Good for Society Good for Business

2 About Nestlé UK & Ireland Nestlé UK & Ireland is a subsidiary of Nestlé SA, the world s leading nutrition, health and wellness company We are a major player within the UK and Irish food industry employing 8,000 employees across 20 sites. We are one of the UK food industry s major exporters, exporting almost 350m worth of products every year to over 70 countries around the world. Contents 1 A message from our Chairman and CEO 2 Performance summary 6 Our approach 7 Materiality assessment 8-9 About Nestlé in Society Rural development and responsible sourcing Water Our people, human rights and compliance Environmental sustainability Nutrition, health and wellness 20 What s next

3 A message from our Chairman and CEO Welcome to our Nestlé in Society: Creating Shared Value 2015 report. A lot has changed since our last report both across our business, and the broader external environment within which we operate. Externally, the pressures of our increasingly globalised world continue to create new challenges for us as global citizens; from civil unrest leading to mass migration, to natural climatic disasters disrupting access to basic provisions such as food and water; to the burden of obesity and other non-communicable diseases on society and on national health services. Encouraging steps are being taken to address these megatrends proved to be a particularly significant year in terms of global action, with the launch of the Sustainable Development Goals in September, followed by the successful Paris COP21 negotiations in December. Such historic moments serve both to shine a light on the importance of the issues at hand and present an explicit call to action for governments, business and society alike to address them. Here in the UK & Ireland, we have seen the development and roll-out of the Living Wage, the Modern Slavery Act legislation come into effect, and increasing focus on the uptake and harnessing of renewable energy technologies, both by business and consumers, in the broader fight against climate change. Within Nestlé in the UK & Ireland, we have made a number of significant strides. As part of our global commitment to the RE100 initiative, we have achieved 100% grid supplied, renewable electricity use across all our operating sites and factories in the UK & Ireland. We will continue to make investments in the area of renewable energy, as part of our continued commitment to reducing carbon emissions across our business by 40% by Within our confectionery business, and as part of our global commitments under the Nestlé Cocoa Plan, we achieved a milestone moment, with all of the chocolate made and sold within the UK & Ireland now being made from 100% certified sustainable cocoa. We will continue to work with our partners to build the capacity of local farming businesses, in order to support the sustainable development of rural communities and continue to bring our customers the products they know and enjoy. When it comes to public health, I genuinely believe that the food manufacturing industry is well placed to address the challenge through our reformulation efforts, transparent labelling, workplace health, consumer education campaigns and ever more responsible marketing practices. We also recognise that UK public health policy is evolving quickly. From a Nestlé perspective, we believe the policy environment should establish a level playing field, support investment in innovation, and encourage responsible business. We recognise that we alone cannot bring about the transformational change needed to address some of the world s most pressing social and environmental issues. Collaboration is key, and so we continue to work closely with NGOs, research institutions, industry partners and other stakeholders. Ongoing partnerships such as our work with Sheffield Hallam University on the development of energy-efficient heating technologies for our factories, to our support of the initiative Phunky Foods, which promotes the benefits of healthy lifestyles and balanced diets in primary schools, play a vital role in enabling us to create shared value for both business and society. As a global company with a local footprint, we believe that being a responsible corporate citizen means truly embedding the values of sustainability across our business and throughout our value chain. putting the issues that matter most to society at the heart of how we operate, and by aligning these with our business values and strategic decision-making processes, we believe we can continue to have a positive impact, not just on our own business but on society as a whole. Looking ahead, our direction is clear. We will continue to work to uphold our responsibilities to all our stakeholders. We will continue to seek out new opportunities to collaborate with our partners in the development of innovative products, ideas and solutions. And we will continue to engage with the people around us, our stakeholders, and communicate our progress as part of our continued journey as Nestlé in Society. Dame Fiona Kendrick Chairman and CEO, Nestlé UK Ltd. Nestlé in Society UK&I Summary Report

4 UK & Ireland Performance summary Nestlé s performance indicators provide a focus for measuring and reporting Creating Shared Value, sustainability and compliance. We have identified the issues through our stakeholder engagement process and business review. They also shape the public commitments we have made. Our targets represent a mixture of global Nestlé commitments as well as UK & Ireland market-specific. As part of our reporting process, we engaged Bureau Veritas to provide independent assurance of our activities and performance data. Their independent assurance statement can be found in full in our online report. For full details on our performance nestle.co.uk/csv2015/ our-reporting/targetsand-performance Rural development and responsible sourcing Improve the sustainability of the Nescafé supply chain, source 180,000 tonnes of coffee from Farmer Connect, all of which are compliant with 4C s baseline sustainability standard. Source 100% certified sustainable cocoa for confectionery. Nescafé to improve the quality, quantity and sustainability of its coffee supply chain by distributing 220 million coffee plantlets. Source 100% of the coffee for Nespresso s permanent range through its AAA Sustainable Quality Programme on coffee sourcing, and improve farmer social welfare. Nescafé to source 90,000 tonnes of coffee that is compliant with the Sustainable Agriculture Network principles. 2 Nestlé in Society UK&I Summary Report 2015

5 Water Environmental sustainability 2015 Reduce total water consumption by 40% (from a 2006 baseline) Develop comprehensive climate change adaptation plans for all sites Implement the new and strengthened Nestlé Environmental Requirements for water quality and effluent discharge in all factories in order to help protect the environment Send zero waste from Nestlé in the Market (NiM) factories to landfill and incineration (excluding a minimum amount of hazardous waste) Define and start to implement action plans to save water in our milk supply chains. Reduce total water consumption by 50% (from a 2010 baseline). Achieve 10% renewable energy use across all sites. 95% of our packaging to be recyclable. Progress: not achieved Reduce greenhouse gas emissions by 30%. Transition towards a low carbon and renewable energy site at Fawdon. Reduce inbound supplier vehicles by 10%. Switch 15% of road transportation to rail. Progress: not achieved Support the Freight Transport Association s target, which is to reduce CO 2 by 8%. Progress: not achieved Develop biodiversity programmes for each of our UK sites Develop a roll-out plan for incorporating EcodEX ecodesign principles into operational and product development plans Reduce greenhouse gas emissions by 40%. Achieve 20% renewable energy use across all sites. Nestlé in Society UK&I Summary Report

6 UK & Ireland Performance summary continued Our people, human rights and compliance 2015 Reinforce the Anti-Corruption Programme and communicate it to all Nestlé business employees within the UK & Ireland. Roll-out a new compliance e-learning module to ensure employees understand what is expected of them. The Nestlé Integrity Reporting System to be fully operational. Make information available to employees outlining the steps taken by the company to manage concerns and complaints. Reduce our recordable incident rate to 1.5. Progress: not achieved 2016 Raise awareness of the existence of confidential reporting lines across the organisation. Create 1,900 employment opportunities for young people, including 300 paid work experience placements through the Youth Employment Initiative. As part of the Youth Employment Initiative, reach 12,000 young people in the UK through online challenges and 4,000 young people through employability skills workshops in 40 schools and colleges close to Nestlé UK site. Increase the proportion of female managers to 40%. Reduce our recordable incident rate to 1.4. Provide nutrition training to all our employees. Progress: not achieved 2017 All employees with computers to complete the compliance e-learning. Raise 750,000 for our Charity of Choice, Action for Children. Progress: not achieved Invest 500m to establish our next generation of world-class manufacturing facilities in the UK. Ensure that all contractors working across Nestlé sites in the UK are paid the UK Living Wage. 4 Nestlé in Society UK&I Summary Report 2015

7 Nutrition, health and wellness 2014 Ensure 100% of children s products meet the Nestlé Nutritional Foundation (NF) criteria for saturated fats % of Maggi product portfolio worldwide will be promoting home cooking and meals with vegetables. Progress: not achieved % of children s products to meet the Nestlé NF criteria for sugars. All single serve confectionery products to contain no more than 250 calories per serving. Include on-pack messaging about sharing and portions on all relevant confectionary products. Apply the government s new front-of-pack nutrition labelling scheme to all relevant products. Maintain at 100% our children s products that meet all the Nestlé NF criteria for children Further reduce sugar content by 10% in products that do not meet the Nestlé NF criteria, to ensure continual improvement even in more challenging areas of our product portfolio. Launch large-scale children s nutrition research projects in at least 10 countries globally to inform our own product and service development. Globally, further reduce salt content by 10% in products that do not meet the Nestlé NF criteria, ensuring gradual salt reduction even in more challenging areas of our product portfolio. Further reduce saturated fat content by 10% in products that do not meet the Nestlé NF criteria. Remove trans fats originating from partially hydrogenated oils (PHOs) from our global product portfolio. Provide portion guidance on all of our confectionery products. Reach 76,000 children in 339 primary schools around the UK through the Healthy Kids Programme (in partnership with Phunky Foods). Implement a strengthened Marketing Communication to Children policy. Provide portion guidance on all children s and family products. Progress: not achieved 2017 Provide portion guidance on all UK products, including breakfast cereals and ice cream products, designed for children and families. Reduce the sugar content in any serving of children s or teenagers breakfast cereal brands to 9g or less per serving, to promote a reduction in sugar in children s diets. To ensure a high nutritional content, there will be more wholegrain than any other ingredient in any serving of children s or teenagers breakfast cereals. Ongoing Continue to strengthen our internal breast milk substitute (BMS) marketing practices; investigate any concerns raised with us, and take corrective action where needed. Promote the importance of good nutrition in the first 1,000 days of life, provide support for parents to enable them to make healthy choices during this time, and support breastfeeding. Nestlé in Society UK&I Summary Report

8 Our approach We believe that succeeding as a business in the long term and creating value for our shareholders also means creating value for society as a whole. We call this Creating Shared Value. CSV is the way we do business, and ingrained in who we are as a company. As a global business, and the UK s biggest food manufacturer, we have a responsibility to the communities and environments in which we operate, as well as the many businesses and people we interact with every day. Nestlé in Society is the name we give to the work we do in order to live up to this responsibility, and create value not only for our business but also for society as a whole. Through Nestlé in Society, we carry out work across five themes where we believe we have the biggest influence. These are: nutrition, health and wellness; environmental sustainability; water; rural development and responsible sourcing; and our people, human rights and compliance. These themes are supported by a number of commitments that we have set ourselves to ensure that we continue to drive positive change as a responsible business in society. In the UK & Ireland, we have 41 commitments in total. To help us keep track of our performance, many of our commitments also have more detailed global and UK-specific objectives. Creating Shared Value Compliance For a company to be successful in the long term and create value for its shareholders, it must also create value for society. Sustainability We aim to delight consumers with tasty, nutritious and healthy food and beverages, while offering products which are made in a responsible way that preserves the environment for future generations. Creating Shared Value Nutrition, water, rural development Sustainability Protect the future In addition to complying with laws and regulations, Nestlé has a strong set of values and principles that we apply across all the countries where we operate. Our overriding objective is to ensure that our investments are beneficial both for our shareholders and the countries where we do business. Compliance Laws, business principles, codes of conduct 6 Nestlé in Society UK&I Summary Report 2015

9 Materiality assessment We want to be sure that our work in society focuses on the issues that matter most to our stakeholders, and where we can make the most difference. In 2015, we commissioned an independent materiality assessment of our sustainability issues across our business in the UK & Ireland. The assessment involved interviews with a range of external and internal stakeholders. The latest Nestlé in Society report covers the period , and therefore its contents are not always aligned to the findings of our materiality assessment. We will use this assessment to inform our approach from this point on, and regularly undertake materiality assessments in alignment with the reporting period. For full details on our materiality assessment nestle.co.uk/csv2015/ our-reporting/materiality Stakeholder Interest Low Medium High Socio-Economic Development Women s Empowerment Animal Welfare Human rights Responsible Marketing Natural Capital Water Stewardship Maternal, Infant and Young Child Nutrition Food Waste Food Safety Health & Wellness Climate Change Business Ethics Safety and Health Responsible Sourcing Overweight, Obesity and NCDs Resource Efficiency and Waste Issue type Nutrition Animal Welfare Socio-Economic Development Responsible Sourcing Our People Human Rights Environmental Sustainability Water Stewardship Employee relations Low Medium High Impact on Nestlé UK & Ireland Nestlé in Society UK&I Summary Report

10 About Nestlé in Society At Nestlé, Creating Shared Value is the way we do business. It s an approach based on a simple belief: that in order to create long-term value for our shareholders, we must also create long-term value for society as a whole. Rural development and responsible sourcing Nestlé in Society is the name we give to the work we do in order to uphold this responsibility. We work across five areas of our value chain, where we believe we have the biggest opportunity to make a positive impact on society. These are:»» rural development and responsible sourcing;»» water;»» our people, human rights and compliance;»» environmental sustainability;»» and nutrition, health and wellness. Within each of these areas we have made a number of commitments to focus our work and help us keep track of progress. In the UK & Ireland we have 41 commitments in total. These are a combination of both global and market-specific commitments. This summary gives a snapshot of just a few of these commitments, and the work we have been doing in 2015 to live up to them. For more about Nestlé in Society and full details of our performance in 2015, read our online report. Nestlé in Society 5 41 Key areas Commitments From farming to consuming Discover the full interactive value chain at nestle.co.uk/csv2015 Nutrition, health and wellness 8 Nestlé in Society UK&I Summary Report 2015

11 Farming Learn more about our 41 commitments online Water Manufacturing Our people, human rights and compliance Operating Environmental sustainability Distributing Consuming Nestlé in Society UK&I Summary Report

12 Rural development and responsible sourcing Globally, Nestlé relies on hundreds of thousands of farmers around the world to supply us with the agricultural raw materials we need to make our products. These farmers are essential for the ongoing success of our business, so it s in our interest to support the sustainable development of their businesses, and the rural areas where they work. Find out more: nestle.co.uk/csv2015/ rural-development Good for Society supporting our farmers and local communities, we can help rural livelihoods and communities to grow. Good for Business Sustainable farming practices ensure the supply of quality ingredients we need for our products. Our commitments Roll-out the Nestlé Cocoa Plan with cocoa farmers Continuously improve our green coffee supply chain Roll-out the Rural Development Framework to understand the needs of farmers Implement responsible sourcing in our supply chain 10 Nestlé in Society UK&I Summary Report 2015

13 100% All of our chocolate, confectionery and biscuits use 100% certified sustainable cocoa. Today, working collectively, things are a lot better for me and all the other farmers in N Douci. Leon Kouadio Aka Ivorian cocoa farmer Nestlé Cocoa Plan Our commitment Roll-out the Nestlé Cocoa Plan with cocoa farmers. What s the issue? The cocoa industry is facing major challenges. While demand is increasing, cocoa yields are down, and old, diseased trees are affecting cocoa quality. As a result, many cocoa farmers are switching to other crops that generate better income. Why is it important to us? As one of the world s largest manufacturers of chocolate, we depend on a stable, sustainable supply of high quality cocoa. What are we doing about it? In 2009, Nestlé launched the Nestlé Cocoa Plan, an initiative that helps cocoa farmers make better use of their land, and improve social conditions for farmers and their families. In the UK, our work with the Nestlé Cocoa Plan focuses on ensuring the sustainable sourcing of cocoa. In 2015, thanks to the Plan, we announced that from January 1 st 2016, we were to become the first major confectionery company in the UK & Ireland to source 100% certified sustainable cocoa for all our chocolate, confectionery and biscuits. Supporting UK dairy farming The Nescafé Plan In the UK, we have developed the Milk Plan to improve the sustainability of dairy farming in Cumbria and Ayrshire. Through the Milk Plan, we help dairy farmers by raising awareness around key issues such as farm economics, natural resource stewardship and animal welfare. We re also nurturing the next generation of UK dairy farming leaders by helping them develop the knowledge and skills to succeed in an increasingly globalised, competitive industry. 760,000 Approximate number of smallholder farmers in Nestlé s global supply chain. The Nescafé Plan is a global initiative for the entire Nescafé brand that aims to secure a sustainable future for coffee farming. Through the plan, we give our coffee farmers training in responsible farming and production, technical support and healthy coffee plants. Nestlé has committed to invest approximately 213m in coffee projects worldwide, and distribute 220 million high-yielding coffee trees by m Number of high-yielding coffee trees Nescafé has committed to distributing by Nestlé in Society UK&I Summary Report

14 Water Water is the source of life on earth, and the planet s most precious resource. The pressures of growing populations and climate change make water scarcity one of the most urgent environmental issues of our times. Water is also fundamental to agriculture and food security, and we are determined to play our part in helping to conserve our limited water resources. Find out more: nestle.co.uk/csv2015/ water Good for Society Managing our water resources carefully from production to consumption, helps ensure access to safe, clean water in our local communities. Good for Business It also means we can secure the sustainable supply of water that food production depends on. Our commitments Work to achieve water efficiency and sustainability across our operations Advocate for effective water policies and stewardship Treat the water we discharge efficiently Engage with suppliers, particularly those in agriculture Raise awareness on water conservation and improve access to water and sanitation across our value chain 12 Nestlé in Society UK&I Summary Report 2015

15 Two decades of support from Nestlé Waters have enabled Project WET to bring water education to people we could not have reached on our own. Dennis Nelson President and CEO of Project WET Foundation Water stewardship Our commitment Advocate for effective water policies and stewardship. What s the issue? To encourage consumers to become better water stewards, we need effective water policies and more public awareness of the importance of conserving water. Why is it important to us? As a major provider of bottled water, Nestlé Waters has an opportunity to engage consumers about water issues and help to influence water policies. What are we doing about it? Throughout the world, Nestlé advocates for better water stewardship through our partnerships with governments, industry bodies, NGOs and research institutions. In the UK, one of our main partners is Project WET, an NGO that develops educational tools to raise awareness of water issues in schools. On 22 March 2015, Nestlé Waters and Project WET joined forces to celebrate World Water Day. Volunteers from Nestlé Waters spent the day at schools in Buxton and Buckinghamshire, helping pupils take part in a range of fun, hands-on waterrelated activities. Through partnerships and events like these, we re helping to put water in the public spotlight in the UK, and encouraging our consumers to be better water stewards. Cutting back on water use Converting liquid waste into energy 58% Water consumption reduced by 58% in UK factories since To help us meet our target of reducing our water consumption by 50% by 2020, we ve been rolling-out water-saving measures and technologies throughout our UK operations. For example, in 2015, we invested 17,000 on projects to reduce water losses and recover wastewater in our cooling towers in York, saving 5,000m 3 of water a year. We ve carried out more than 250 water-saving projects like this since m 3 Volume of liquid waste converted into renewable energy and clean water every day by our anaerobic digester. Following a 3.2m investment. The liquid and unavoidable solid waste produced by our Fawdon factory in Newcastle is converted into renewable energy and clean water by an anaerobic digester. turning waste products into biogas, the digester helps avoid pollution by preventing any wastewater from being discharged into the environment. Thanks to the new plant, the Fawdon site is now a zero-waste for disposal facility. Nestlé in Society UK&I Summary Report

16 Our people, human rights and compliance From the farmers who supply us with ingredients to the communities where our factories are based, our business has an impact on the lives of millions of people every day. We have a responsibility to protect their rights, treat them fairly and act with honesty and integrity, in compliance with all relevant laws and ethical standards. Find out more: nestle.co.uk/csv2015/ our-people-humanrights-andcompliance Good for Society Good for Business We support ethical business practices, respecting people s rights, and giving communities access to careers and new opportunities. doing so, we strive to live up to the high standards people and society expect of us. Our commitments Assess and address human rights impacts in our operations and supply chain Eliminate child labour in key commodities Enhance gender balance in our workforce Work against corruption and bribery Ensure all Nestlé units have basic safety and health protection systems for all employees Grow our business in the UK by investing in our brands, our people and our factories Ensure that all employees and stakeholders can easily report possible compliance violations Offer 20,000 job opportunities for young people below 30 years of age at Nestlé in Europe Provide CSV, nutrition and environmental sustainability training for our employees Work with community partners to support our communities in the UK 14 Nestlé in Society UK&I Summary Report 2015

17 1,433 Number of employment opportunities we have created for young people since With youth unemployment steadily rising we all need to play our part in creating opportunities for the next generation. Dame Fiona Kendrick Chairman & CEO, Nestlé UK & Ireland Youth employment Our commitment Create 1,900 employment opportunities for young people below 30 years of age (as part of Nestlé s European commitment to offer 20,000 job opportunities to young people in Europe). What s the issue? Unemployment is a serious social and economic problem across Europe, limiting young people s opportunities and restricting social mobility. Why is it important to us? Our future depends on talented young people with the knowledge and skills to succeed in our industry. What are we doing about it? In November 2011, we launched the Nestlé Academy to grow our own pipeline of high-performing talent and develop the future leaders of our business. The academy brings together our graduate and apprenticeship programmes, direct entry schemes and vocational training to build the skills and broad experience needed for our future business success. The academy supports our wider commitment to creating 1,900 employment opportunities for young people by 2016, including 300 paid work experience placements. More than 600 employment opportunities are available each year in roles across all areas of the business. Action for Children Living up to our standards Since 2012, we ve been supporting some of the UK s most vulnerable children through our partnership with Action for Children. In 2015, Nestlé employees across the country took part in a huge range of fund-raising activities for Action for Children, including marathons, cycle challenges and cake sales. Thanks to their enthusiasm and hard work, we raised an impressive 700,000 for the charity. 0.7m Money raised by Nestlé employees for Action for Children. As part of our commitment to the highest standards of ethical business practice, Nestlé has a zero-tolerance attitude to any form of bribery or corruption. In 2015, to make sure we live up to these standards, we launched an anti-corruption programme across our business. All UK employees completed a mandatory e-learning course that raised awareness of bribery and corruption issues, and what to do if they have concerns. 10 Nestlé Corporate Business Principles to guide us on doing the right thing for individuals and society. Nestlé in Society UK&I Summary Report

18 Environmental sustainability In a world facing rapid environmental change and rising populations, we all have a stake in protecting our environment. At Nestlé, our aim is to grow our business while reducing our impacts on the environment. We are committed to reducing greenhouse gas emissions, using resources efficiently, and encouraging biodiversity in the areas where we operate. Find out more: nestle.co.uk/csv2015/ environmentalsustainability Good for Society Good for Business All living things need a stable, healthy environment in order to thrive. protecting the environment, we help make sure it can continue to sustainably provide us with natural resources and raw ingredients needed to make our products. Our commitments Improve resource efficiency in our operations Improve the environmental performance of our packaging Provide climate change leadership Preserve natural capital, including forests Provide meaningful and accurate environmental information and dialogue Assess and optimise the environmental impact of our products 16 Nestlé in Society UK&I Summary Report 2015

19 Nestlé s commitments to reduce its carbon emissions are important not only in their own right but also through the signals they send to other businesses, policymakers and the public. Nick Molho Executive Director, Aldersgate Group 225 tonnes Reduction in CO 2 emissions every year, thanks to our new solar panel installation at our Fawdon factory. Climate change Our commitment Provide climate change leadership. What s the issue? Man-made climate change is the single greatest environmental challenge of our generation. To help avoid dangerous and irreversible global temperature increases, companies must scale back their dependence on carbon-intensive forms of energy and transport. Why is it important to us? Globally, the food sector is one of the business sectors most affected by climate change. An unstable climate is a major threat to agricultural production and to farming communities, and affects our ability to source the ingredients we need. What are we doing about it? Globally, Nestlé has committed to using 100% renewable energy across all our operations. In the UK, we ve made an additional commitment to reduce our greenhouse gas emissions by 40% by To help achieve these goals, we made several major investments in renewable energy technologies in 2015, including solar panel installations at our factories in Fawdon and Tutbury. Alongside this, we re working hard to optimise our transport networks and switching to cleaner fuels, as well as putting climate change adaptation measures in place throughout our operations and supply chain to prepare for an uncertain climate future. Putting surplus food to good use As part of our commitment to resource efficiency, we constantly look for smart ways to reduce waste or avoid it altogether. One example is our partnership with FareShare, a charity that provides meals for vulnerable and disadvantaged people using food that would otherwise have gone to waste. In 2015, we donated 185 tonnes of surplus fit-for-consumption food to FareShare, contributing towards 440,485 meals for people in need. 2,535 tonnes The amount of surplus fit-forconsumption food we have donated to FareShare since our partnership began. Reducing packaging weight in our supply chain Between 2014 and 2015, we carried out a number of design changes in our packaging to reduce weight. For example, by harmonising carton sizes for Nescafé Café Menu cappuccino stickpacks, we now save more than 163 tonnes of cardboard annually. As well as saving on packaging materials, we can now fit more packs onto one pallet. That means 14% fewer lorries on the road, per tonne of coffee distributed. 1,300 tonnes Reduction in the weight of our packaging from 2014 to Nestlé in Society UK&I Summary Report

20 Nutrition, health and wellness We know people love the taste and enjoyment our products bring. But we also recognise our responsibility to help people make healthier choices. We re committed to making a positive difference to the health of our consumers by improving the nutritional value of our products, marketing them responsibly, and providing clear nutritional information and guidance. We also support our employees to lead healthier lifestyles. Find out more: nestle.co.uk/csv2015/ nutrition-health-andwellness Good for Society Good for Business Nutritious food and balanced diets are essential for maintaining healthy lives. developing nutritious products and supporting healthy lifestyles, we meet demand and uphold the commitments we set ourselves as a business. Our commitments Build knowledge leadership in children s nutrition Lead the industry in nutrition and health research through collaboration Provide nutritionally sound products designed for children Help reduce the risk of undernutrition through micronutrient fortification Reduce sodium (salt) in our products Reduce sugars in our products Reduce saturated fats and remove trans fats in our products Encourage consumption of wholegrains and vegetables Deliver nutrition information and advice on all our labels Provide Portion Guidance for consumers Promote healthy hydration as part of a healthy lifestyle Promote healthy diets and lifestyles, including physical activity Provide education programmes for good nutrition and feeding practices Ensure responsible marketing communication to children Market breast-milk substitutes responsibly Reduce calories in relevant products 18 Nestlé in Society UK&I Summary Report 2015

21 Healthier portions are important for the manufacturing and food service sectors but must also find their way into everyday use in our domestic kitchens. Prof. Mike Gibney from University College in Dublin Tackling obesity in primary schools Since 2012, we ve been working with the educational programme Phunky Foods to raise awareness of the importance of healthy eating and exercise among primary school children. The programme provides classroom resources, lesson plans and teacher training. the end of 2015, we had helped the programme reach more than 86,000 children in 316 primary schools throughout the UK. 86,000 More than 86,000 UK primary school children reached by the Phunky Foods programme. Portion guidance Our commitment Provide portion guidance for consumers. What s the issue? In the UK there s a general lack of public awareness of what constitutes a portion size. As a result people are eating more than they should without realising it. Why is it important to us? As a food company committed to promoting public health, we want to help address the problem of inappropriate portion sizes. Through our food packaging, we have an opportunity to help people be more mindful of portion sizes. What are we doing about it? We want to help make eating food in the right portions as easy and intuitive as possible. For that reason we ve created Nestlé Portion Guidance, a global voluntary initiative designed to raise awareness, challenge misconceptions and reframe cultural norms when it comes to portion size. As a result of this initiative, many of our packs now feature visual cues and messaging to help consumers be more mindful of portion size. For example, our Smarties Sharing Block includes a Know your Servings roundel, reminding consumers that a serving is three chunks. Improving our products nutritional value We continually review and reformulate our products in order to improve their nutritional value, in line with our Nutritional Profiling System criteria. Through product reformulations, we have decreased the sugar content of our breakfast cereals by 1,400 tonnes since 2003, while at the same time increasing their wholegrain and fibre content.* * 2003 recipes or launch recipes for those products introduced post The figures are not cumulative (only for 2015), using 2015 sales figures. No.1 Wholegrain is the number one ingredient in all our breakfast cereals with the green banner (apart from glutenfree cereals) billion Calories removed from our confectionary products between January 2014 and December Nestlé in Society UK&I Summary Report

22 What s next Nestlé in Society is an ongoing process. We aim to continually improve our performance across all the areas where we can make a positive difference to society and the environment. From the nutritional value of our products and our use of energy and natural resources, to the way we source ingredients through our supply chain, we will work to achieve our commitments. We will continue to report on progress against our objectives in the the next Nestlé in Society report and beyond. In the meantime, please see our online report for full performance details and updates on progress. See our online report for full performance details and updates on progress: nestle.co.uk/csv Nestlé in Society UK&I Summary Report 2015

23 Contact We hope you find this report engaging and informative, and welcome your input and views, which can be sent to Or contact Nestlé UK & Ireland via Printed on 100% recycled FSC Certified paper. Nestlé UK & Ireland June 2016

24 Nestlé UK & Ireland 1 City Place, Gatwick, United Kingdom RH6 0PA See our online report nestle.co.uk/csv2015